Industrial cap rates further compressed, inching down by 7 basis points (bps) overall, with the most tightening for lower-quality properties.

In retail, power centers had an average cap rate increase of 13 bps, neighborhood centers increased by 10 bps and high-street properties were stable.

Multifamily, office and hotel cap rates were largely unchanged.

The average cap rate spread over the 10-year Treasury rose by 20 bps. Spreads were lowest for high-street retail and highest for suburban hotels.

CBRE Capital Markets, Valuation & Advisory Services and Research professionals who participate in this survey provide cap-rate ranges based on personal experience with active investors in their markets. The final report, with summary tables, analysis and maps for all property types in major markets, will be published in mid-February.